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18) Use the following sales data to compute a trend- and seasonally-adjusted for

ID: 3387631 • Letter: 1

Question

18) Use the following sales data to compute a trend- and seasonally-adjusted forecast for quarter 3 of year 7. Round off seasonal indexes to two decimals.

Use the following sales data to compute a trend- and seasonally-adjusted forecast for quarter 3 of year 7. Round off seasonal indexes to two decimals.

Year

Quarter

2008

2009

2010

2011

2012

2013

1

86.4

95.3

93.5

99.1

103.4

113.4

2

93

102.7

100.9

103

108.6

113.5

3

91.9

98.6

99.4

101.2

109.5

113.2

4

107.3

107.9

113.7

115.6

122.3

127.1

Year

Quarter

2008

2009

2010

2011

2012

2013

1

86.4

95.3

93.5

99.1

103.4

113.4

2

93

102.7

100.9

103

108.6

113.5

3

91.9

98.6

99.4

101.2

109.5

113.2

4

107.3

107.9

113.7

115.6

122.3

127.1

Explanation / Answer

Computation for Seasonal Fluctuation :

Computation for Seasonal Indexes

Qtr. Sales 3-Qtr. Moving Total 3-Qtr. Moving Average 2008       1 86.4 2 93 271.3 90.43 3 91.9 292.2 97.40 4 107.3 294.5 98.17 2009        1 95.3 305.3 101.77 2 102.7 296.6 98.87 3 98.6 309.2 103.07 4 107.9 300 100.00 2010       1 93.5 302.3 100.77 2 100.9 293.8 97.93 3 99.4 314 104.67 4 113.7 312.2 104.07 2011        1 99.1 315.8 105.27 2 103 303.3 101.10 3 101.2 319.8 106.60 4 115.6 320.2 106.73 2012        1 103.4 327.6 109.20 2 108.6 321.5 107.17 3 109.5 340.4 113.47 4 122.3 345.2 115.07 2013        1 113.4 349.2 116.40 2 113.5 340.1 113.37 3 113.2 353.8 117.93 4 127.1
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